OPTIMUM ROTATION AGE OF CHINESE FIR (<em>CUNNINGHAMIA</em> <em>LANCEOLATE</em>) PLANTATIONS UNDER FAUSTMANN AND MAXIMUM SUSTAINABLE YIELD CRITERIA

Abstract

Most forest research focuses either on the silvicultural aspects of forest management or the economic optimisation of an objective function to answer a specific policy question. This paper investigated optimum rotation ages for harvest, under both economic and biological theories, to discover the conditions that maximise both profit and sustainability. Both the optimum biological rotation for maximising sustainable yields (MSY), and economic rotation based on the Faustmann model were calculated through observation
data from Chinese fir (Cunninghamia lanceolata) plantations in Fenyi, Jiangxi Province, China. It was found that the economic rotations of Chinese fir were longer than the biological rotations by almost 2 years when the discount rate equaled 0.05. If the discount rate increased as high as the inverse of the biological rotation time plus the incremental growth rate of the stumpage price, the rotations under both Faustmann and MSY rules coincided. Under these conditions, the ratio of regeneration costs to the value of timber in a stand should be low to keep forest management profitable. These findings are of practical importance for forest managers in relation to forest investment, planting decisions and harvesting for bussiness.